Family functioning in father custody, mother custody, and two-parent household families is examined in order to understand the effects of divorce on children. The cognitive and social functioning of children in single-parent households with mother custody or father custody families and in two-parent households where parents have not divorced are assessed. Approximately 72, middle socioeconomic background families with children from seven to nine years of age, are selected. Focus is on the interactions of family members after divorce and the relation of these interactions to children's social and cognitive competence. The child's social functioning is assessed through observations of peer interaction, parent and teaching ratings of child's social behavior, and social-cognitive tasks designed to elicit information on solutions to social conflict episodes, and attributions for social acts involving self and others. Cognitive functioning is assessed by psychometric tests and achievement data.